Transfer payments means ?
Correct answer: B. The payment without work
- A. Bank loans
- B. The payment without work
- C. Tax payments
- D. Payments made to all factors of production
Explanation
A transfer payment gives income without a current exchange of goods or productive services, such as a pension or welfare benefit. Bank loans and tax payments are financial transactions, not transfer payments in this sense.
Report an error
The more specific you are, the faster it gets fixed. A source beats an opinion.
Prefer email? [email protected]
About Public Finance
Government revenue and expenditure are analysed through taxation, public borrowing, budgets, subsidies, transfers and public debt. The topic explains how fiscal policy affects resource allocation, income distribution, economic stability and growth, while distinguishing direct from indirect taxes, progressive from regressive taxation, and public goods from goods supplied by private markets.
Practise Public Finance
406 free Public Finance MCQs from Economics, each with the correct answer and an explanation. Unlimited attempts, no account needed.
Discussion
Stuck on an option, or know a faster way to get there? Ask or explain it here.
No comments yet. Be the first to explain this one.
Exams that ask Economics questions like this
Economics is on 2 papers prepared for on TestUstad, and all of them draw the same bank, so this question is worth knowing for every one of them.
More Public Finance questions
Which is most likely to cause a more even distribution of income ?
A budgetary deficit means ?
Treasury bill is used for_________________?
A tax which is paid by the person on whom the tax is incident is called a ?
What is Black Money ?
What is called the tax that is levied on retail price of merchandise collected by retailer ?